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Auto industry research-and-development budgets have been battered by the global recession, losing $12 billion last year, according to a new report.

The precipitous drop represents a 14.3% year-over-year decline, slightly outpacing the industry’s 12.7% loss in total revenue in the period, according to the “2010 Global Innovation 1000” study conducted by consulting-firm Booz & Co. Inc.

The report, which ranks the total R&D spending among all industries, includes five auto makers among the top-20 companies: General Motors Co., Ford Motor Co., Toyota Motor Corp., Volkswagen AG and Honda Motor Co. Ltd.

Automotive ranked third behind the computing and electronics and healthcare industries in 2009 R&D spending, the study finds.


 
 
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Short Term Profit For Long Term Pain? Automakers Slash R&D Budgets When They Need Them Most

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